A Guide to Owning Your First Home

Purchasing your first home is a daunting task. The prospect of writing out a large check for a building you know very little about is so stressful that it brings many people to tears. Whether the housing market is up or down, hot or cold, you need to have your ducks in a row before making one of the largest purchases of your life. There's no doubt that you've sacrificed and saved for years to be able to own a home. Many feel that home ownership is the ultimate realization of the American dream. However, there are some financial and procedural realities about home buying that, if properly understood, will save you a few headaches during the process. First and foremost, you need to sit down and figure out a budget. After you've determined what size home you can afford you should review your financials, meet with a loan officer for pre-approval, and only then should you start seriously looking at potential homes.

• Buying your First Home? Here's What You Need to Know - There's going to be an overwhelming tide of information thrown at you throughout the home buying process. It is of vital importance to stay organized and on budget at every step. Consider making a home buying binder or box that contains all relevant paperwork and is readily accessible.

• Buying a Home: U.S. Housing and Urban Development (HUD) - The United States Department of Housing and Urban Development has a number of resources for both first-time home buyers and those looking to upgrade. Most importantly, you will find out your rights and responsibilities as a home buyer.

• USDA Property Eligibility - The United States Department of Agriculture has several programs to assist first-time home buyers in rural areas. If you are thinking of settling outside of the city limits, take a look at their programs and see what benefits and tax breaks are available for rural home buyers.

• Buying a Home With A VA-Backed Loan - The U.S. government also provides its active and retired military members with a VA-backed home loan. If you were active duty military in the past, consider looking into a VA-backed loan for your first home purchase, as there are many incentives.

• Thinking About Buying Your First House? (FDIC) - The Federal Deposit Insurance Corporation (FDIC) is a government entity that backs your bank and therefore has good insights into shopping the housing market. Before starting the search for a house to buy they recommend checking your credit score and taking steps to improve it if necessary.

• Is Buying a Home Worth It? - While it makes logical sense to be paying a mortgage instead of rent there are other considerations before deciding to buy a home.

• Tips on How to Improve Your Credit Score - If your credit score is lower than you would like to be, don't panic. There are several routes of action you can take that will help improve your score and increase your odds of getting approved for a mortgage or home loan.

• Can I Afford to Buy a House? - This Business Insider quiz is a good gateway to the home buying process. It will help you get a clearer picture of your finances and whether it makes prudent financial sense to buy instead of rent.

• The Real Estate Marketplace Glossary (PDF) - During your housing search, you will encounter a lot of unfamiliar terms. This handy glossary put out by the Federal Trade Commission is a must-have if you're afraid of being talked over in meetings.

• 50 Real Estate Terms From A-Z - It never hurts to have too much information when purchasing a home. Your ability to intelligently and confidently discuss the terms of your loan will be a great asset when dealing with banks and realtors.

• Home Inspection Checklist: What do Home Inspectors Look For? - The final home inspection is a critical step in finalizing the purchase of your new home. The inspector will look over the entire house, from the foundations to the roof and chimney. This is the final chance for you, the buyer, to catch any potential issues in the home's critical systems before purchase.

• How to Choose a Home Inspector - A first-time home purchase is likely the largest purchase you've made in your life. Choosing a reputable and honest home inspector is a step you don't want to miss.

• Basic Home Inspection Checklist - The International Association of Certified Home Inspectors has a printable home inspection checklist in both English and Spanish. This is an important document to discuss with your prospective home inspector to make sure nothing is missed during your final home inspection.

• The Mortgage Process, Explained - One of the biggest mistakes first-time home buyers make is not getting loan approval before shopping for a house. Nothing is more devastating to first-time home buyers than finding out they can't afford a house they had their hearts set on simply because the mortgage is unaffordable.

• How to Apply for a Mortgage - It never hurts to punch in a few numbers and see what mortgage rates you are currently pre-approved for. Pre-approval does not necessarily mean that you'll be able to take out a home loan at that rate, however. A loan officer will have to review your financials before making a determination.

• 7 Documents You Need When Applying for a Home Loan - The primary purpose of meeting with a loan officer is to determine how risky it is to loan you money. Therefore, having a good credit score and all your financial documents in order before meeting about a home loan is a must.

• How to Choose a Realtor - Finding an honest and reliable real estate agent in today's market can be overwhelming. Here are a few things to consider aside from a realtor's sales record.

• Home Energy Assessments - Doing an energy audit on your new home is highly recommended. While the home inspection will catch any fatal flaws in a home's construction, an energy audit is a more thorough picture of the energy usage in your house. This includes testing blower doors and looking over past energy consumption to determine where your home's efficiency could be improved.

• 10 Things to Do After Closing on Your House - Now that you've finally closed on your first home it's time for housekeeping. Changing the locks, repainting and reflooring are just a few of the pressing tasks you'll undertake as a first-time homeowner.

• After Closing - The number one thing most people do after moving into their new home furnish it, but that's shouldn't always be your first step. Will you need to repaint rooms, pull up any loose floorboards, or perhaps replace some plumbing? Consider these issues before you move in that oversized armoire your grandmother left you.

• Tips for Decorating Your First Home - Now that it's official, take the first steps at turning your new house into a real home.

• Home Decor Ideas - It bears repeating that you shouldn't go furniture shopping right after closing on your new home. Take the time to figure out how you will use each room and what furniture and accessories will be functional rather than ornamental.